Frontier Developments plc's (LON:FDEV) 57% Price Boost Is Out Of Tune With Revenues
Apr 26
U.K. (FTSE) Entertainment Industry Analysis
UpdatedApr 26, 2024
DataAggregated Company Financials
Companies22
- 7D5.0%
- 3M2.6%
- 1Y-30.9%
- YTD10.7%
The Entertainment industry is up 5.0% in the last week, with Team17 Group up 8.0%. During this same period, the tinyBuild underperformed, falling 18%. In contrast, the industry has lost 31% in the last 12 months. Earnings are forecast to grow by 30% annually.
Industry Valuation and Performance
Has the U.K. Entertainment Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 26 Apr 2024 | UK£1.2b | UK£806.9m | -UK£119,085,422.12 | 17.6x | -10x | 1.5x |
| Sun, 24 Mar 2024 | UK£1.1b | UK£817.9m | -UK£118,558,490.08 | 16.3x | -9.1x | 1.3x |
| Tue, 20 Feb 2024 | UK£1.2b | UK£802.3m | -UK£106,068,122.51 | 19.6x | -11x | 1.4x |
| Thu, 18 Jan 2024 | UK£1.1b | UK£818.6m | -UK£109,327,928.00 | 13x | -9.8x | 1.3x |
| Sat, 16 Dec 2023 | UK£1.0b | UK£832.1m | -UK£66,689,569.00 | 12.6x | -15.5x | 1.2x |
| Mon, 13 Nov 2023 | UK£1.3b | UK£831.7m | -UK£70,796,433.00 | 15.7x | -18.8x | 1.6x |
| Wed, 11 Oct 2023 | UK£1.2b | UK£831.0m | -UK£70,353,308.00 | 14.5x | -17.4x | 1.5x |
| Fri, 08 Sep 2023 | UK£1.3b | UK£783.8m | -UK£32,799,412.00 | 16.2x | -39.4x | 1.6x |
| Sun, 06 Aug 2023 | UK£1.4b | UK£780.6m | -UK£31,964,630.00 | 16.4x | -42.5x | 1.7x |
| Tue, 04 Jul 2023 | UK£1.5b | UK£781.2m | -UK£32,198,346.00 | 17.3x | -46x | 1.9x |
| Thu, 01 Jun 2023 | UK£1.6b | UK£775.0m | -UK£32,436,581.00 | 12.6x | -49.2x | 2.1x |
| Sat, 29 Apr 2023 | UK£1.6b | UK£782.1m | -UK£30,704,600.00 | 17.2x | -51.5x | 2x |
| Mon, 27 Mar 2023 | UK£1.6b | UK£704.2m | -UK£11,711,220.00 | 11x | -135.4x | 2.3x |
| Wed, 22 Feb 2023 | UK£1.7b | UK£705.5m | -UK£12,109,929.00 | 11.9x | -141.1x | 2.4x |
| Fri, 20 Jan 2023 | UK£1.8b | UK£669.2m | -UK£22,589,377.00 | 19.4x | -79.2x | 2.7x |
| Sun, 18 Dec 2022 | UK£2.0b | UK£671.6m | -UK£21,570,835.00 | 21.9x | -93x | 3x |
| Tue, 15 Nov 2022 | UK£2.3b | UK£672.8m | -UK£23,580,035.00 | 23.5x | -95.6x | 3.4x |
| Thu, 13 Oct 2022 | UK£61.6b | UK£681.1m | -UK£26,104,855.00 | 24.4x | -2360.1x | 90.5x |
| Sat, 10 Sep 2022 | UK£2.2b | UK£577.2m | UK£68.1m | 23.6x | 33x | 3.9x |
| Mon, 08 Aug 2022 | UK£2.4b | UK£572.1m | UK£68.0m | 26.4x | 35x | 4.2x |
| Wed, 06 Jul 2022 | UK£2.2b | UK£573.3m | UK£67.7m | 25.5x | 32.9x | 3.9x |
| Fri, 03 Jun 2022 | UK£2.9b | UK£565.5m | UK£65.2m | 30.9x | 44.2x | 5.1x |
| Sun, 01 May 2022 | UK£3.0b | UK£564.9m | UK£65.0m | 29x | 46.4x | 5.3x |
| Tue, 29 Mar 2022 | UK£3.1b | UK£410.1m | UK£25.5m | 24.3x | 121.5x | 7.6x |
| Thu, 24 Feb 2022 | UK£4.2b | UK£466.6m | UK£15.0m | 34.9x | 282.3x | 9.1x |
| Sat, 22 Jan 2022 | UK£4.8b | UK£453.0m | -UK£12,078,692.00 | 44.3x | -393.7x | 10.5x |
| Mon, 20 Dec 2021 | UK£4.6b | UK£441.7m | -UK£5,141,228.00 | 39x | -895.6x | 10.4x |
| Wed, 17 Nov 2021 | UK£4.4b | UK£438.8m | -UK£6,477,754.00 | 43.9x | -685.7x | 10.1x |
| Fri, 15 Oct 2021 | UK£3.8b | UK£438.3m | -UK£6,941,097.00 | 45.3x | -541.4x | 8.6x |
| Sun, 12 Sep 2021 | UK£4.0b | UK£416.3m | -UK£23,122,711.30 | 48.7x | -172x | 9.6x |
| Tue, 10 Aug 2021 | UK£3.8b | UK£413.0m | -UK£26,702,196.52 | 46.5x | -143.2x | 9.3x |
| Mon, 03 May 2021 | UK£4.0b | UK£409.0m | -UK£29,286,196.52 | 54.5x | -137.5x | 9.8x |
Price to Earnings Ratio
-137.5x
Current Industry PE
- Investors are pessimistic on the British Entertainment industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The 3-year average PS ratio of 5.0x is higher than the industry's current PS ratio of 1.5x.
Past Earnings Growth
- The earnings for companies in the Entertainment industry have deteriorated over the last three years.
- Meanwhile revenues for these companies have grown 25% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has caused losses to expand.
Industry Trends
Which industries have driven the changes within the U.K. Telecom industry?
| GB Market | 2.25% | |
| Telecom | 1.48% | |
| Entertainment | 5.04% | |
| Interactive Home Entertainment | 6.02% | |
| Movies and Entertainment | 3.64% | |
Industry PE
- Investors are most optimistic about the Movies and Entertainment industry which is trading above its 3-year average PE ratio.
- Analysts are expecting annual earnings decline of 23.8%, which is less than its past year's earnings decline of 45.6%.
Forecasted Growth
- Analysts are most optimistic on the Interactive Home Entertainment industry, expecting annual earnings growth of 56% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the Movies and Entertainment industry is expected to see its earnings decline by 24% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| TM17 Team17 Group | UK£2.70 | 8.0% +UK£28.8m | -21.7% | PS2.4x | |
| GMR Gaming Realms | UK£0.36 | 15.4% +UK£14.1m | 23.1% | PE17.9x | |
| LBG LBG Media | UK£0.78 | 9.5% +UK£14.1m | -23.0% | PE278.4x | |
| HNG Hawkwing | UK£0.065 | n/a UK£3.3m | 0% | PB1.3x | |
| HUD Huddled Group | UK£0.034 | 17.5% +UK£1.6m | -11.8% | PS14.2x |